Hire-Purchase Restrictions (Hansard, 13 December 1960)

§ 28. Mr. Nabarro
asked the President of the Board of Trade to what extent hire-purchase restrictions, since inauguration in their present form, have contributed to increase in the export trade of the United Kingdom.

§ Mr. N. Macpherson
These restrictions were imposed as part of the Government's measures to restrain internal demand. It was not expected that they would have any immediate or direct effect on exports, and I can make no estimate of their effect in this regard.

§ Mr. Nabarro
But would my hon Friend not agree that increasing apprehension is being felt by bankers, businessmen and industrialists in all parts of the country that, far from these credit restrictions assisting exports, they are having exactly the opposite effect and militating against the export trade? Has the time not now arrived when mere should be an urgent reappraisal of present economic policies?

§ Mr. Macpherson
My hon. Friend will recognise that this is a matter which is quite literally continuously under the attention of my right hon. Friend. My hon. Friend must recognise that what is quite certain is—

§ Mr. Nabarro
My hon. Friend should not dictate to me. I will not be dictated to.

§ Mr. Macpherson
May I say that I am sure that my hon. Friend does recognise that what is quite certain is that if the home market gets out of hand then sterling, the balance of payments and exports will suffer?

§ Mr. Nabarro
Is my hon. Friend suggesting to the House now that the home market is out of hand? Is he having no cognisance at all of the fact that there are now hundreds of thousands of industrial workers, notably in the Midlands, who are on a three and four-day week instead of full-time without any appreciable effect upon the export trade at all? Therefore, is not it urgently desirable that there should be a reexamination of present policies?

§ Mr. Macpherson
If my hon. Friend means a change in present policies—

§ Mr. Nabarro
I said "a reappraisal".

§ Mr. Macpherson
Perhaps my hon. Friend will allow me to answer his question. If my hon. Friend means a change, then that change will be made as soon as the Government consider that it is in the public interest to make it. If my hon. Friend is talking about an appraisal, I say that this matter is continuously under the attention of Her Majesty's Government.

§ Mr. Jay
Does that mean that we must have actual unemployment before the Government change their policy?

§ Mr. Macpherson
It does not mean that.